The Economic Sciences Association in Damascus, in collaboration with the Syrian Center for Policy Research (SCPR), convened a panel discussion concerning fiscal policy during the transitional phase, presented by SCPR researcher Rabie Nasr.
The session, held on May 17, 2026 at 10:00 am, underscored the imperative of examining public finance through alternative paradigms that transcend the conventional focus on deficits and budgets. It primarily emphasized the developmental role of the state and its capacity to achieve an equitable distribution of wealth, thereby averting socio-economic exclusion and unbalanced development.
Key Thematic Axes of the Session:
- State Finance vs. Authority Finance: The researcher posed a fundamental inquiry regarding the dichotomy between institutions striving for the public good and a political authority serving narrow interests. He warned against the absence of a unified public finance framework, highlighting a bifurcation between the official public budget and the “Sovereign Fund.” The latter monopolizes lands, resources, and revenues outside the bounds of transparency and accountability, operating independently of public fiscal priorities.
- Abolition of Subsidies and the Absence of Social Protection: Nasr critiqued policies that retract the state’s developmental role, specifically the lifting of subsidies on essential commodities (such as bread and petroleum derivatives) in the absence of comprehensive social safety nets. This approach, implemented without conducting household income and expenditure surveys, severely jeopardizes citizens’ livelihoods, particularly given that poverty rates currently range from 75 per cent, according to the Minister of Finance’s statements, to 90 per cent, based on SCPR estimates. He further elucidated that imposing higher operational costs on a devastated economy has fundamentally undermined the competitiveness of domestic production.
- Glaring Disparities in Wage Structures: The researcher addressed the erratic nature of prevailing wage policies and the non-transparent termination of employees. He highlighted a profound disparity wherein the majority’s wages range merely between USD 60 and USD 70, while select groups within the security and administrative sectors receive compensations starting at USD 400, reaching up to USD 1,000, and potentially much higher, which severely undermines the principles of justice and egalitarianism.
- Tax Policies and Debt Management: It was delineated that current policies rely up to 90 percent on indirect taxes and customs duties, fundamentally contradicting the tenets of a free-market economy and debilitating the productive sector. Furthermore, the researcher criticized the bookkeeping write-off of internal public debt, noting that this practice disregards its true valuation and the collateral economic losses it entails.
Participant Interventions and Discussions: The session witnessed extensive engagement from attendees, who corroborated a set of pivotal points:
- Governance Challenges and Administrative Paradigms: Attendees cautioned against the transitional government’s attempts to universalize the economic model previously implemented in Idlib—which relied heavily on humanitarian aid and a border-crossing economy—across the entirety of Syria. It was argued that this model lacks a substantive framework for effective governance and state-building.
- Impediments to Production: Participants noted that the private sector is currently incapacitated to compete or fulfill tax obligations amidst pervasive infrastructural devastation, unregulated importation, and escalating energy costs. This is compounded by the expansion of the informal economy, primarily driven by widespread employee layoffs.
- Primacy of the Political Dimension and Institutional Reform: Interlocutors affirmed that public finance is fundamentally a “political act,” and that expenditure on healthcare and education constitutes the core rationale for the state’s existence. They advocated for the establishment of an economic and social governance council to mitigate prevailing disorganization and the lack of coordination among state agencies and ministries.
- The Void of a Social Contract: The audience criticized the continued marginalization of civil society, reducing it to a mere recipient of policies. They emphasized that state-building cannot be predicated solely on coercion and raw military dominance; rather, it necessitates a structural openness to society and robust political participation.
Conclusion: The session concluded by reaffirming that public finance provides a vital arena for formulating a new “social contract,” one predicated on transparency, citizenship, and societal consensus. Participants concurred that the paramount challenge resides in reinstating the developmental role of the state and objectively determining national priorities, unequivocally separated from closed-door decision-making and policies designed to appease political loyalties.
Categories: Event, Past Event
Panel Discussion on Fiscal Policy in the Transitional Phase
Syria – Damascus – 17 May 2025
The Economic Sciences Association in Damascus, in collaboration with the Syrian Center for Policy Research (SCPR), convened a panel discussion concerning fiscal policy during the transitional phase, presented by SCPR researcher Rabie Nasr.
The session, held on May 17, 2026 at 10:00 am, underscored the imperative of examining public finance through alternative paradigms that transcend the conventional focus on deficits and budgets. It primarily emphasized the developmental role of the state and its capacity to achieve an equitable distribution of wealth, thereby averting socio-economic exclusion and unbalanced development.
Key Thematic Axes of the Session:
- State Finance vs. Authority Finance: The researcher posed a fundamental inquiry regarding the dichotomy between institutions striving for the public good and a political authority serving narrow interests. He warned against the absence of a unified public finance framework, highlighting a bifurcation between the official public budget and the “Sovereign Fund.” The latter monopolizes lands, resources, and revenues outside the bounds of transparency and accountability, operating independently of public fiscal priorities.
- Abolition of Subsidies and the Absence of Social Protection: Nasr critiqued policies that retract the state’s developmental role, specifically the lifting of subsidies on essential commodities (such as bread and petroleum derivatives) in the absence of comprehensive social safety nets. This approach, implemented without conducting household income and expenditure surveys, severely jeopardizes citizens’ livelihoods, particularly given that poverty rates currently range from 75 per cent, according to the Minister of Finance’s statements, to 90 per cent, based on SCPR estimates. He further elucidated that imposing higher operational costs on a devastated economy has fundamentally undermined the competitiveness of domestic production.
- Glaring Disparities in Wage Structures: The researcher addressed the erratic nature of prevailing wage policies and the non-transparent termination of employees. He highlighted a profound disparity wherein the majority’s wages range merely between USD 60 and USD 70, while select groups within the security and administrative sectors receive compensations starting at USD 400, reaching up to USD 1,000, and potentially much higher, which severely undermines the principles of justice and egalitarianism.
- Tax Policies and Debt Management: It was delineated that current policies rely up to 90 percent on indirect taxes and customs duties, fundamentally contradicting the tenets of a free-market economy and debilitating the productive sector. Furthermore, the researcher criticized the bookkeeping write-off of internal public debt, noting that this practice disregards its true valuation and the collateral economic losses it entails.
Participant Interventions and Discussions: The session witnessed extensive engagement from attendees, who corroborated a set of pivotal points:
- Governance Challenges and Administrative Paradigms: Attendees cautioned against the transitional government’s attempts to universalize the economic model previously implemented in Idlib—which relied heavily on humanitarian aid and a border-crossing economy—across the entirety of Syria. It was argued that this model lacks a substantive framework for effective governance and state-building.
- Impediments to Production: Participants noted that the private sector is currently incapacitated to compete or fulfill tax obligations amidst pervasive infrastructural devastation, unregulated importation, and escalating energy costs. This is compounded by the expansion of the informal economy, primarily driven by widespread employee layoffs.
- Primacy of the Political Dimension and Institutional Reform: Interlocutors affirmed that public finance is fundamentally a “political act,” and that expenditure on healthcare and education constitutes the core rationale for the state’s existence. They advocated for the establishment of an economic and social governance council to mitigate prevailing disorganization and the lack of coordination among state agencies and ministries.
- The Void of a Social Contract: The audience criticized the continued marginalization of civil society, reducing it to a mere recipient of policies. They emphasized that state-building cannot be predicated solely on coercion and raw military dominance; rather, it necessitates a structural openness to society and robust political participation.
Conclusion: The session concluded by reaffirming that public finance provides a vital arena for formulating a new “social contract,” one predicated on transparency, citizenship, and societal consensus. Participants concurred that the paramount challenge resides in reinstating the developmental role of the state and objectively determining national priorities, unequivocally separated from closed-door decision-making and policies designed to appease political loyalties.
Categories: Event, Past Event
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